The EPC contract will include the 45ktpm capacity gold plant, the tailings storage facility as well as the wastewater management dams as per Theta Gold Mines' definitive feasibility study (DFS) completed in July 2022
Theta Gold Mines selects Yellow River as EPC partner for the first phase of the TGME gold plant in South Africa. (Credit: Dorothe from Pixabay)
Theta Gold Mines has selected Yellow River, a subsidiary of Power Construction Corporation of China, as its engineering, procurement and construction (EPC) partner for the first phase of the TGME gold plant in South Africa.
In line with this, the gold development company has signed a memorandum of understanding (MoU) with Yellow River.
The EPC contract will include the 45ktpm capacity gold plant, the tailings storage facility as well as the wastewater management dams as per Theta Gold Mines’ definitive feasibility study (DFS) completed in July 2022.
Theta Gold Mines chief operations officer Jacques Du Triou said: “Since initial engagement back in November 2023, our team already completed 4 site trips with YRC’s senior management and ground staff having established a very solid working relationship.
“Together we’re working very quickly towards the EPC contract including for design optimisations as well as preparing for subcontractor tenders.”
Both parties aim to complete the formal EPC contract by Q2 2024 with an estimated size of $30m on a cost-only basis.
Theta Gold Mines said that it is in talks with several financiers to secure the capital required to fulfil the upfront payment commitments for the gold project to advance the EPC MoU to an EPC contract.
Located near the towns of Pilgrim’s Rest and Sabie in Mpumalanga Province, 370km northeast of Johannesburg, the TGME gold project has over 43 historical mines identified across the goldfield of 620km2.
Theta Gold Mines holds 74% of the TGME project company while the remaining is owned by Black Economic Empowerment entities as part of the country’s ESG initiatives.